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CHINESE automotive brands are bucking the downward trend of Australia’s new-vehicle market as MG, LDV, Haval and Great Wall all recorded growth in both sales and market share in the first quarter of 2019.

Although still a drop in the ocean with just 3476 units out of the total market’s 268,538 haul after the first three months of trading, the combined total of Chinese brand sales is up 101.3 per cent year-on-year in contrast to the overall market’s 7.9 per cent decline.

Spearheading the growth is MG – a subsidiary of Shanghai-based SAIC Motor – which has increased its sales by a staggering 581 per cent, to 1716 units.

This sees it overtake LDV for bragging rights as the top-selling Chinese brand in Australia, and places it ahead of brands such as Skoda (1434) for the year to date.

Across MG’s line-up, the ZS small SUV tops the table on 756 sales (+563.2%), but it is the next best-selling MG3 light hatchback that has experienced a 4229 per cent jump from 17 to 736 units year-on-year.

Keen pricing and a seven-year warranty partly explain the jump in sales for the ZS and MG3, with the former launching into the high-growth segment in late 2017 and the latter hitting showrooms in facelifted form in August last year – crucially, with an automatic transmission fitted for the first time.

MG’s GS mid-size SUV has also increased its sales this year by 132.7 per cent, to 114 units, while the MG6 Plus small sedan is up 52.8 per cent, to 110 units.

A major National Basketball League (NBL) sponsorship and a big expansion of its dealer network have also contributed to MG’s higher profile and improved performance.

MG sold 3007 vehicles last year – a 401.2 per cent increase over 2017’s 600 units – and if its trajectory continues this year, the Chinese brand could finish 2019 with around 7000 sales.

Meanwhile, LDV – also owned by SAIC Motor but independently distributed by Ateco Group in Australia – has only grown a modest 4.0 per cent in the first three months of 2019, to 1307 sales.

While the brand’s T60 4×4 pick-up continues to lead sales (648, +22.7%), not a single 4×2 ute has been delivered this year.

Only two other nameplates in LDV’s stable have increased their share this year, the G10 Wagon (206 sales, +5.1%) and V80 (123 sales, +8.8%) one-tonne vans.

Made in China: MG Motors has shot up the sales charts in 2019 with 1716 sales in the first quarter, a significant 581 per cent year-on-year increase, enough to put it ahead of Skoda.

As for the remainder of the line-up, the T60-related D90 large SUV has hit 45 sales (-56.3%), the G10 people-mover has 285 new registrations (-6.9%) and the V80 Bus has not sold a single unit yet.

LDV topped the Chinese brand sales charts last year with 6064 new registrations, its best year on record and a 135 per cent jump over 2017’s 2580 figure. However, the marque might have to settle for second place in 2019 with its current pace putting it on track for about 5300 units.

Ute specialist Great Wall Motors, meanwhile, has recorded 235 new registrations so far this year – a 167 per cent jump over the same period last year – with 136 and 99 units split between its 4×2 and 4×4 Steed respectively.

Continuing its upward trend from last year where Great Wall finished with 784 sales over the full 12 months (+94.1%), the Chinese ute brand is projected to finish 2019 with about 940 sales.

For reference, Great Wall’s best year-end sales record was in 2012, with 11,006 new registrations.

MG ZS

Great Wall has used this week’s Shanghai motor show to unveil its new-generation, and more upmarket, Steed-replacing pick-up, which is expected to hit Australian showrooms towards the end of next year.

As for its SUV-focused sister brand Haval, sales are up 69 per cent this year, to 218 units, with the H2 small crossover shouldering the heavy lifting with 99 sales (+83.3%).

The H6 mid-size SUV and H9 off-roader are also up 55.8 and 70 per cent respectively, to 67 and 51 sales, while the H8, which is no longer on Haval’s website, has contributed just one unit.

Haval finished last year with 633 sales (-10.8%), but in 2019 it could land about 872 units based on current trends, which would be its best sales year yet.

While the Chinese brands are a long way from resembling anything like a dominate force in Australia’s automotive landscape, MG, Haval and LDV are clearly overcoming hurdles associated with entering Australian’s ultra-competitive new-vehicle market.

Fresh product could also return Great Wall to its former sales heights as all signs point to a positive future for the brands that hail from the world’s biggest motor market.

By Tung Nguyen

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